Case Law[2025] ZAGPPHC 50South Africa
Segwana N.O v South African Board for Sheriffs (2025/001285) [2025] ZAGPPHC 50 (22 January 2025)
High Court of South Africa (Gauteng Division, Pretoria)
22 January 2025
Judgment
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# South Africa: North Gauteng High Court, Pretoria
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## Segwana N.O v South African Board for Sheriffs (2025/001285) [2025] ZAGPPHC 50 (22 January 2025)
Segwana N.O v South African Board for Sheriffs (2025/001285) [2025] ZAGPPHC 50 (22 January 2025)
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sino date 22 January 2025
FLYNOTES:
COSTS
– De bonis propriis –
Misleading
court
–
Application
to compel issuing of Fidelity Fund Certificate for sheriff –
Disciplinary process and findings that applicant
not fit and
proper – Applicant and attorney knew about process
for cancellation of certificate – Attorney
not to perpetuate
client’s dishonesty – Applicant liable for
50% of costs on attorney-client scale
– Attorney liable for
50% of costs on attorney-client scale,
de
bonis propriis
.
IN THE HIGH COURT OF
SOUTH AFRICA
GAUTENG DIVISION,
PRETORIA
Case number:
2025/001285
Date of hearing: 10
and 17 January 2025
Date delivered: 22
January 2025
(1)
REPORTABLE:
YES
/NO
(2)
OF INTEREST TO OTHERS JUDGES:
YES
/NO
(3)
REVISED
DATE: 22/1/25
SIGNATURE
In
the application of:
DAVID
LEKGUA SEGWANA N.O.
Applicant
and
SOUTH
AFRICAN BOARD FOR SHERIFFS
Respondent
JUDGMENT
SWANEPOEL
J
:
[1]
The applicant alleges that he is a Sheriff appointed for the District
of Sasolburg in terms of the
Sheriff’s Act, 90 of 1986 (“the
Act”). He launched this application on an urgent basis, seeking
an order that
the respondent be directed to issue him with a Fidelity
Fund (“FFC”) for the year ending 31 December 2025. He
also
seeks a costs order against the respondent.
[2]
The application was launched at approximately midday on 9 January
2025, and it was set down for
hearing at 10h00 on 10 January 2025. It
was emailed to the respondent at 14h32 on 9 January.
[3]
Section 26 of the Act established a fidelity fund for sheriffs, which
is largely aimed at indemnifying
the public for claims against
sheriffs. A Sheriff is obliged to have a FFC by virtue of the
provisions of section 30 (1) (a) of
the Act. The applicant says that
he applied for a FFC on 31 July 2024 and again on 30 October 2024.
The respondent acknowledged
his application, and advised that if he
were not to hear from it, he could infer that the application was in
order, and that he
would in due course receive his FFC. He says:
“
To
date I have not heard from them, nor was there any query raised.”
[4]
The applicant attached his application dated 30 October 2024 to his
papers. He was required to
answer two questions: The first was
whether he had ever been dismissed from a position of trust by reason
of improper former conduct
involving a breach of such trust. The
second was whether he had ever been convicted of any offence
involving dishonesty. In respect
of both questions the applicant
replied in the negative.
[5]
When, by 2 January 2025, he had not yet received his FFC, the
applicant addressed an email to
the applicant. In the email he
referred to “
numerous telephone conversation today
”
(sic) that he had apparently had with the respondent’s staff.
On 3 January 2025 the applicant’s attorney wrote
to the
respondent. He recorded that the applicant had not yet been issued
with a FFC, that he had complied with all the legal obligations
in
terms of the Act for the issuing of the FFC, and that there was no
“
cogent valid and legal reason”
for not issuing
the FFC. The attorney, Mr. Thapelo Motaung, demanded that a FFC be
issued to his client. The respondent replied
that the letter had been
referred to the relevant department, and that the “
Board
compliance and EM
” would provide feedback.
[6]
Again, on 6 January 2025, Mr. Motaung wrote to the respondent,
demanding a FFC, and again he made
the allegation that there was no
valid reason to refuse to issue a FFC. When the respondent had not
issued the FFC by 9 January
2025, this application was launched. The
applicant put forward, inter alia, the fact that he could not fulfil
his duties of serving
processes in the absence of a FFC, as a ground
for the urgency of the application.
[7]
The picture one gets from reading the founding affidavit is of an
innocent applicant who is at
the mercy of the respondent, and who has
no idea why his FFC had not been issued.
[8]
The respondent delivered an answering affidavit in great haste. The
applicant, when faced with
the answering affidavit, sought an
opportunity to reply. I stood the matter down to later in the day for
that purpose. The applicant
then sought a postponement so that he
could reply, and I postponed the matter to 17 January 2025. Not
surprisingly, as will become
apparent from the rest of this judgment,
there was eventually no reply forthcoming.
[9]
The answering affidavit presents a totally different picture of the
matter. On 18 November 2024
the respondent addressed a letter to the
applicant. The letter was accompanied by a letter of complaint by the
Sheriff of certain
areas adjoining Sasolburg. More importantly, the
letter was also accompanied by an opinion drafted by counsel on the
appropriateness
of issuing a FFC to the applicant. The opinion
recorded the following information:
[9.1]
The applicant was appointed as Sheriff of the Districts of Mkobola,
Mbibane and Mdutjana in 2001.
On 30 July 2012 he was appointed
Sheriff for Sasolburg.
[9.2]
The respondent instituted disciplinary action against the applicant
on 31 January 2017, as a result
of numerous complaints, which
resulted in his conviction on all charges. The disciplinary enquiry
determined that he had committed
offences pertaining to the
non-payment of trust monies, and remarked that he had already been
convicted on similar charges in 2013.
The finding reads (in part)
that:
“
3.28
Mr. Segwana shows no respect for trust monies and good accounting
practices….
3.2.10
Mr. Segwana is not fit and proper to hold the office of a Sheriff;”
[9.3]
The sanction imposed on the applicant included a recommendation to
the Minister of Justice and Constitutional
Development that the
applicant be removed as sheriff. An internal appeal by the applicant
was unsuccessful, as was an appeal before
a Full Court of the Western
Cape High Court where the learned Judge remarked:
“…
misconduct
[is] of such magnitude that the recommendation to the Minister is for
the Sheriff’s removal is, in my view, the
only appropriate
sanction, especially for a repeat offender.”
[9.4]
Astonishingly, the Board was of the view that the sanction applied
only to the districts of Mkobola,
Mdutjana and Mbibana, and it
recommended that the Minister of Justice and Constitutional
Development remove him as Sheriff of those
areas, leaving him still
appointed for Sasolburg. The applicant was so removed on 20 December
2021.
[9.5]
On 19 April 2022 the Minister raised certain concerns about the
applicant’s continued appointment
for Sasolburg, and he made
the obvious point that if he were not fit to be a Sheriff for the
abovementioned three areas, why should
he be issued with a FFC for
Sasolburg? Nonetheless, the respondent continued to issue the
applicant with FFC’s until 31 December
2024.
[10]
The opinion concluded with the view that the decision of the
respondent not to execute the disciplinary sanction
of removal as
Sheriff for all areas was unlawful, and that the respondent was
obliged to cancel the applicant’s existing
FFC. This view
accorded with that of the Minister, and should have been obvious to
everyone. Why the respondent issued the applicant
with further FFCs
in the first place is beyond understanding. In fact, the respondent’s
conduct flies in the face of section
33 (1) (g) of the Act, that
specifically prohibits the issuing of a FFC to a person who “
has
at any time been dismissed from a position of trust by reason of
improper conduct involving a breach of such trust”.
[11]
None of the above is in dispute. The respondent’s letter of 18
November called upon the applicant to
make representations regarding
the letter, and on the opinion, within 14 days. The applicant has
never responded to the letter
save, in a classic attempt to delay,
his attorney enquired from the respondent when the 14-day period
commenced.
[12] It
is quite apparent that, when the applicant brought the application,
he was aware of the process that had
commenced for the cancellation
of his FFC. An email dated 2 January 2025 that one Ms. Africa had
sent to the applicant also makes
it clear that the applicant was
aware of the fact that ad hoc Sheriffs would in the meantime be
appointed in his stead to serve
processes. The email referred to a
discussion between Ms. Africa and the applicant, and it referred him
to a website link that
provided information on the appointment of ad
hoc Sheriffs,
https:/sheriffs.org.za/how-to-appoint-an-ad-hoc-sheriff.
[13]
Therefore, when this application was brought, both the applicant and
his attorney knew that there was an
ongoing process relating to the
cancellation of his FFC, they knew that ad hoc sheriffs were to be
appointed in the applicant’s
stead, but nevertheless, the
applicant, with the assistance of his attorney, made the following
submission in the founding affidavit:
“
10.29
It is respectfully submitted that the Applicant has never had a
Fidelity Fund Certificate cancelled or that he was disqualified
from
obtaining such, this clearly indicates the unprocedural manner in
which the Respondent has conducted itself in respect of
the Applicant
despite the Applicant having satisfied and met all the requirements
for obtaining same.”
[14]
The allegation that the applicant has never had a FFC cancelled is
false. The applicant, having received
the letter of 18 November 2024
regarding the cancellation of his FFC, also falsely denied having
received any feedback from the
respondent after he had applied for a
FFC. He falsely pretended not to know why the FFC had not been
issued. In addition, the replies
to the respondent’s questions
on the application form, as I referred to above, were false. In my
view the applicant is clearly
guilty of fraud.
[15]
Therefore, even if I were entitled to make the order sought, I would
not do so. As the Court pointed out
in
Ntsibanto
v The Minister of Justice and Correctional Services
[1]
a FFC
is not simply there for the asking. The applicant has to comply with
the requirements of the Act for appointment, and with
the Regulations
relating to Sheriffs
[2]
. Section
2
bis
(b)
of the Regulations require the applicant to be a fit and proper
person in order to qualify for appointment. The applicant is
without
any doubt not a fit and proper person to be a sheriff.
[16] In
Ntsibanto (supra)
, also an urgent application, the core issue
was whether a court was empowered to make an order directing the
Board of Sheriffs
to issue a provisional fidelity fund certificate.
The court held (per Sher J) that:
“
But
off course it is trite, the court’s power in this regard is
limited to the regulation of its own process. It does not
extend to a
general power at common law to make orders on matters which are
regulated by statute and which fall within the domain
of an
administrative entity such as the Board, which is a statutorily
established regulatory body which has amongst its objects
the
maintenance of the esteem of, and the improvement of the functions
performed by sheriffs. It is the Board upon which the legislature
has
conferred the power to issue fidelity fund certificates, and not the
courts, and the courts should respect this lest they make
themselves
guilty of overreaching.”
[17] I
am respectfully in agreement with the above passage. It is not for
this Court to consider whether the applicant
qualifies to be a
sheriff, and whether he has complied with his statutory obligations.
That falls within the purview of the respondent.
Therefore, even if I
were inclined to find that the applicant was a suitable candidate,
which I do not, it would be improper for
me to tread into the field
of responsibility of the respondent.
[18]
The respondent argued that the matter is not urgent, and I am
inclined to agree. The applicant knew on at
least 2 January 2025
(although I believe he knew long before), that his FFC would not be
renewed. He waited until 9 January 2025
to launch the application,
and he then gave the respondent approximately 20 hours to appear. I
would not be surprised if that was
an attempt at stealing a march on
the respondent, in the hope of obtaining an order in its absence.
Clearly, the ‘urgency’
was self-created. Nevertheless,
having heard full argument, and having determined that the
application is meritless, I intend to
dispose of the matter on the
merits.
[19]
The final issue is that of costs. During the hearing I asked the
applicant’s counsel to address me
on whether punitive costs
would be appropriate, and also on whether his attorney should pay the
costs, or at least a part thereof,
de bonis propriis
.
Applicant’s counsel conceded that the correspondence regarding
the cancellation of the FFC had come to the applicant’s
attention in November 2024. However, he argued that a letter sent by
the respondent on 20 December 2024 to an attorney, Mr. HJ
Moolman,
who had complained about the applicant’s appointment, had put
the dispute entirely to bed. That is not the case.
All that the
letter of 20 December said was that if Moolman wished to attack past
decisions of the respondent, he should take those
decisions on
review. The letter had nothing to do with the ongoing steps against
the applicant, and cannot be understood to have
resolved the dispute
regarding his 2025 FFC.
[20]
There could, consequently, not have been any misunderstanding on the
applicant and his attorney’s part.
I find that they knew that
the submissions made in the founding affidavit, to which I referred
above, were false.
[21]
There is a substantial body of authority that has held that if a
party is dishonest in a matter, attorney/client
costs may be ordered.
It is an order not lightly made.
[3]
In
Pieter
Bezuidenhout – Larochelle Boerdery (Edms) Bp ken Andere v
Wetorius Boerdery (Edms) Bpk
[4]
the
Court explained:
“
Alvorens
so ‘n bevel uitgevaardig kan word, moet daar buitengewone
omstandighede bestaan wat bykomende koste-bestraffing van
die party
teen wie die bevel gemaak word, vereis. Dit is ‘n buitengewone
bevel en behoort nie deur te geredelike verlening
tot aledaagsbevel
verlaag te word nie.”
[22]
However, where a party has placed untrue evidence before a court, or
has been dishonest, such an award would
be justified.
[5]
[23]
Having made the finding that the applicant was dishonest in the
founding affidavit, as well as having lied
in the FCC application, I
have no doubt that an attorney/client costs order would be
appropriate. However, should the applicant’s
attorney bear some
responsibility for his involvement in presenting evidence that he
knew was false? A
de
bonis propriis
order
is even more unusual than an attorney/client costs order, and is not
often awarded. In
Multi-Links
Telecommunications Ltd v Africa Prepaid Services Nigeria Ltd
[6]
Fabricius
J said that a de bonis propriis costs order:
“…
is
reserved for conduct which substantially and materially deviates from
the standard expected of the legal practitioners, such
that their
clients, the actual parties to the litigation, cannot be expected to
bear the costs, or because the court feels compelled
to mark its
profound displeasure at the conduct of an attorney in any particular
context. Examples are dishonesty, obstruction
of the interests of
justice, irresponsible and grossly negligent conduct, litigating in a
reckless manner, misleading the court,
gross incompetence and a lack
of care.”
[24] I
am dismayed by the conduct of Mr. Motaung. He deliberately attempted
to mislead the Court. It was submitted,
on his behalf, that an
attorney acts on the instructions of his client, and that that is all
he did. That may be so, but an attorney
is foremost an officer of
court, and when an instruction from a client is in conflict with
his/her duty to the court, an attorney
must advise the client that
he/she cannot execute that particular instruction. An attorney must
not perpetuate his client’s
dishonesty, but must be
scrupulously honest with the court. He/she must not allow false or
misleading facts to be placed before
a court. In this case the
applicant and his attorney are equally to blame for attempting to
mislead the Court, and, in my view,
they should be equally liable for
the costs.
[25]
I make the following order:
[25.1]
The application is dismissed.
[25.2]
The applicant shall be liable for 50% of the costs of the application
on an attorney/client scale. The applicant’s
attorney, Mr
Thapelo Motaung shall be liable for 50% of the costs on the
attorney/client scale, de bonis propriis. The costs shall
include the
costs of 10 January 2025, and shall be calculated on Scale C.
SWANEPOEL J
JUDGE OF THE HIGH
COURT
GAUTENG
DIVISION PRETORIA
Counsel
for the applicant:
Adv.
S Mqibi
Adv
O Ntsole
Instructed
by:
Thapelo
Motaung Attorneys
Counsel
for the respondent:
Adv
B Joseph
Instructed
by:
Herold
Gie Attorneys
Date
heard:
10
and 17 January 2025
Date
of judgment:
22
January 2025
[1]
Unreported
Western Cape High Court, case no. 156/2018 dated 26 April 2018, para
29
[2]
Published
in GN R 411 in GG 12307 of 12 March 1990
[3]
See:
Erasmus’ Superior Court Practice, 2
nd
Ed, D
5-21, footnote 3 and the plethora of authorities referred to.
[4]
1983
(2) SA 233
(O); See also Herold v Sinclair and Others
1954 (2) SA
531
(A); Ward v Sultzer 1973 (3) SA 701 (A)
[5]
Ramakulukusha
v Commander, Venda National Force
1989 (2) SA 813(V)
; Grobler NO v
Boikhutsong Business Undertaking (Pty) Ltd and Others
1987 (2) SA
547
(BG); Pitluk v Law Society of Rhodesia
1975 (2) SA 21
(RA); Law
Society, Northern Provinces v Mogami and Others
2010 (1) SA 186
(SCA)
[6]
2014
(3) SA 265
(GP) at 289 A - D
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